GBP/USD takes out stops above 1.5260

FXStreet (Bali) - The US Dollar continues to extend the sell-off in Asia, with no fundamental news behind, resulting in GBPUSD GBP/USD to take stop loss buy orders above the 1.5260 level for a spike to 1.5290/5300.

USD selling dominant

The rise in the pair can not be attributed to Pond strength alone but rather, a major sell-off in US Dollar across the board, despite the FOMC minutes did not negate at all the clear possibility for the commencement of the Fed's tightening cycle. Fed fund futures are pricing the chances of a Dec hike near 70%.

GBP/USD key levels

Following the bullish breakout resolution, the next major area to conquer is seen at 1.53, with a breach higher likely to see gains accelerate and pave the way towards 1.5350 - major vacuum from 53 to 5350 -. On the downside, as long as above 1.5230/40, the market should remain solidly bid, with UK retail sales later on the day to inject further volatility.
For more information, read our latest forex news.

Useful Searches

Disclaimer - Forex, futures, stock, and options trading is not appropriate for everyone. There is a substantial risk of loss associated with trading these markets. Losses can and will occur. No system or methodology has ever been developed that can guarantee profits or ensure freedom from losses. No representation or implication is being made that using the information contained on this site will generate profits or ensure freedom from losses.